Other Income and Expenses

3 Months Ended

Mar. 31, 2017

Other Income and Expenses [Abstract]

Other income and expenses [Text Block]

Note 4 – Other Income and Expenses

The following table presents certain gains or losses reflected in Other (income) expense – net within Costs and expenses in our Consolidated Statement of Operations:

	Three Months Ended   March 31,
	2017			2016
	(Millions)
Williams Partners
Net foreign currency exchange (gains) losses (1)	$	—		$	11
Gains on contract settlements and terminations	(13		)	—
Other
Gain on sale of unused pipe	—			(10		)

(1) Primarily relates to gains and losses incurred on foreign currency transactions and the remeasurement of U.S. dollar denominated current assets and liabilities within our former Canadian operations.

Additional Items

Certain additional items included in the Consolidated Statement of Operations are as follows:

• Service revenues were reduced by $15 million for the three months ended March 31, 2016, related to potential refunds associated with a ruling received in certain rate case litigation within the Williams Partners segment.

• Selling, general, and administrative expenses at March 31, 2016 includes $34 million of project development costs related to a proposed propane dehydrogenation facility in Alberta, Canada within the Other segment. Beginning in the first quarter of 2016, these costs did not qualify for capitalization.

• Selling, general, and administrative expensesand Operating and maintenance expenses include $9 million in severance and other related costs for the three months ended March 31, 2017 for the Williams Partners segment. The three months ended March 31, 2016, included $26 million in severance and other related costs associated with an approximate 10 percent reduction in workforce in the first quarter of 2016, primarily within the Williams Partners segment.

• Other (income) expense – net below Operating income (loss) includes $18 million and $17 million for the three months ended March 31, 2017 and 2016, respectively, for allowance for equity funds used during construction primarily within the Williams Partners segment as well as $28 million and $4 million, respectively, of income associated with a regulatory asset related to deferred taxes on equity funds used during construction.

• Other income (expense) – net below Operating income (loss) includes a net gain of $30 million associated with the February 2017, early retirement of $750 million of 6.125 percent senior unsecured notes that were due in 2022. (See Note 8 – Debt and Banking Arrangements.) The net gain within Williams Partners reflects $53 million of unamortized premium, partially offset by $23 million in premiums paid.